The proposed "Rhode Island Kratom Act" establishes a comprehensive regulatory framework for the sale and distribution of kratom and kratom products within the state. It defines key terms related to kratom, including "kratom," "kratom product," "distributor," "retailer," and "manufacturer." The act outlines acceptable product standards and prohibits the sale of harmful or synthetic kratom products, particularly those marketed to individuals under 21 years of age.

The bill mandates that all kratom products be sold by licensed retailers and obtained from licensed manufacturers, importers, or distributors. It introduces a licensing system requiring manufacturers, importers, distributors, and retailers to secure licenses, with initial application fees set at $2,000 for manufacturers, importers, and distributors, and $1,000 for retailers, effective from April 1, 2026, until December 31, 2027. Licenses must be renewed annually, and individuals or businesses with outstanding tax filings or significant criminal convictions related to tobacco or kratom products are ineligible for licensing.

Additionally, the bill amends existing laws to include kratom products under regulations concerning the sale of tobacco to individuals under 21 years of age, establishing penalties for unlicensed sales and allowing for license suspensions for non-compliance. It imposes a 15% tax on wholesale kratom sales, with proceeds contributing to the state's general fund, and outlines penalties for tax non-compliance.

The act emphasizes consumer safety through labeling requirements, which include warnings and recommendations for use, and mandates training for employees involved in the sale of kratom and tobacco products. The legislation aims to protect public health while providing a legal framework for the kratom market in Rhode Island, with an effective date of April 1, 2026.

Statutes affected:
5565: 21-28-2.03
5565  SUB A: 21-28-2.03